HomeMy WebLinkAbout07523ORDINANCE NO. 7523
AN ORDINANCE AMENDING SECTION 2 OF ORDINANCE NO. 7272 APPROPRIATING $25,000
OF THE PROCEEDS FROM THE SALE OF HARP LOTS AS A RESERVE FUND FOR THE HARP
AUTHORITY
WHEREAS, a pad site on the HARP has been sold, and
WHEREAS, these funds are restricted to use in the improvement and maintenance of the
HARP facility, and
WHEREAS, the HARP Authority desires to have a cash flow reserve in its operating fund to
sustain it through peaks and valleys in its cash receipts, NOW THEREFORE
BE IT ORDAINED BY THE CITY COUNCIL OF PUEBLO, that:
(brackets indicate matter being deleted, underscoring indicates matter being added)
SECTION 1.
Section 2 of Ordinance No. 7272 is hereby amended to read as follows: The HARP
Authority shall not budget the use of these funds for any expenditure and prior to December 31,
[2006] 2008 shall return the $25,000 to the City for redeposit in the Lot Sales Fund.
SECTION 2.
This Ordinance shall become effective upon final passage and approval.
BY Randy Thurston
Councilperson
APPROVED:
President of City Council
ATTESTED BY:
CITY CLERK
INTRODUCED September 11, 2006
PASSED AND APPROVED September 25, 2006
(�'AO , -# / ) 52
Background Paper for Proposed
ORDINANCE
AGENDA ITEM # I cl
DATE: September 11, 2006
DEPARTMENT: OFFICE OF THE CITY MANAGER
DAVE GALLI, CITY MANAGER
DOUG FITZGERALD, ASSISTANT CITY MANAGER
TITLE
AN ORDINANCE AMENDING SECTION 2 OF ORDINANCE NO. 7272 APPROPRIATING
$25,000 OF THE PROCEEDS FROM THE SALE OF HARP LOTS AS A RESERVE FUND
FOR THE HARP AUTHORITY
ISSUE
Lot # 1 on the HARP was sold, and per the Intergovernmental Agreement (IGA) creating the
HARP Authority, these proceeds must be used for capital improvements or maintenance of the
City's HARP facility. The HARP Authority requested (Ordinance No. 7272) that City Council
allow it to use $25,000 of these proceeds as a cash flow reserve for its operating fund and to be
used for temporary cash flow needs only. The original agreement required the HARP Authority
to return the entire amount of $25,000 to the City prior to December 31, 2006, for redeposit into
the Lot Sales Fund. Subsequently, the HARP Authority has contacted the City Administration
and is requesting to extend this due date of December 31, 2006, for two years until December 31,
2008. HARP would like to keep this $25,000 to maintain a cash balance in covering the
expenses associated with the expansion of the HARP (Phase III A -1).
RECOMMENDATION
Approval of the Ordinance.
FINANCIAL IMPACT
These funds will still not be available to cam interest in the Lot Sales Fund for another two
years. They will remain with the HARP Authority.